Lexington Herald-Leader from Lexington, Kentucky • 1

iVi' we'i 1 rrfq -'-I Kentucky beats South Carolina Tony Delk scores career-high 18 in 87-66 victory Sports Cl Restaurants think small Children welcomed with special meals prices and toys YOU Page 6 Lexington Herald -Leader Bluegrass Final Lexington Kentucky February 18 1993 50 Cents Kentucky Central to sell moire something for Analysis stations Highlights of the economic stimulus investment and deficit reduction plan President Clinton presented to a Joint sessskm of Congress: Ttf Increase Offers expected soon on WKYT-TV WVLK By KK Wagar and Susan White Herald-Leader staff writers Taxes on wealthy: Raise rates for joint incomes over $140000 from 31 to 36 10 surtax on those making over $250000 Corporate taxes: Increase rates from 34 to 36 Tax more Social Security benefits: From 50 now to 85 of benefits for couples above $32000 singles above $25000 Tax energy: Measured either as a sales tax or by heat content (BTUe) End executive tax breaks: For pay over $1 million Medicare payroll taxes: End the cap raising $29 billion over 5 years Tax breaks Capital gains tax cut: By 50 on long-term Investments in new small businesses Research and development tax break: Maks permanent the existing break for investors Clinton unveils massive shift in taxing spending By Rottert 8 Boyd and David Haaa Knlght-Rkktor News Service WASHINGTON President Ginton challenged Americans last night to accept $500 billion in new taxes and program cuts to restore the economy and halve the federal deficit during the next four years economic plan is ambitious but it is necessary for the continued greatness of our Ginton told a joint session of Congress as he unveiled one of the most massive dimges in taxing and spending policy in peacetime history have called for change and now it is up to those of us in this room to deliver for die president said need to break die old habits of both political parties in Washington We must say that there can be no more something for nothing and we are all in tiiis Foreshadowing another great battle ahead Ginton said of our efforts to strengthen the economy will fail unless we also take this year not next year not five years from now but this year bold steps to reform our health-care The lawmakers applauded enthusiastically but their willingness to endorse their new program remains very much in doubt Spending cut Vs1 Defense spending: $76 bHHon over five years Federal bureaucracy: Reduce workforce by 100000 over four years $9 billion savings White House staff: Reduce by 25 saving $10 million in 1994 Federal workers: Wage freeze for 1 994 2-pronged plan seeks to forge coalition By David La uter Lob Angelas Times WASHINGTON The battle now joined over President economic plan would be vast even if all that hung in die balance were die future of tax rates and spending levels for government programs But at stake is far more: The plan Clinton unveiled yesterday represents nothing less than an effort to use government policy to forge a new political coalition one that would combine the 43 percent of voters he won in November with some significant share of the Americans who voted for Ron Perot That would give Democrats a solid political majority for the first time since the battles over civil rights and Vietnam destroyed the Democratic coalition forged by Franklin Roosevelt more than half a century ago White House strategists think The task is one Clinton had in mind half a year ago when he spoke about the mistakes of die last Democratic president and how he would frame his own economic policies to avoid repeating them Jimmy Carter a lot of great ideas for community economic development community based welfare reform and other things but they never got to try it Clinton said at the time he had to or chose to whatever (Carter) adopted certain austerity policies (that) wound up disappointing a lot of his blue-collar base on economic Clinton said Spending increase tafM fong4ern Investment: top-rated television and radio stations officially went up for sale yesterday and potential buyers were already poring over die books in anticipation of making offers authorities said Kentucky Insurance Commissioner Don Stephens said several companies have inquired about buying WKYT-TV (Channel 27) and WVLK-AM and FM since Friday when the state seized their parent company Kentucky Central Life Insurance Co Top managers at the television and radio stations said they are putting together investor groups to make offers for the stations WKYT President Ralph Gabbard declined to name his potential partners in making an offer to buy WKYT and its sister station WYMT (Channel 57) in Hazard But he said the sale of the two CBS affiliates is on a fast track apparently because of Kentucky need to raise cash The whole thing is probably going to happen within 30 Gabbard said Associated Press President Clinton addressed a joint session of Congress last night in the House The extraordinary scope cost and pain of the president's plan guarantees a major political and economic war lasting for months and engaging every sector of society before it is enacted The president will take die battle to die American people stating today with a twoday visit to Missouri Ohio and New York and on Sunday a flying trip to die West Coast not just the Republicans the lobbyists for special interests and the well-to-do taxpayers who will be affected by program The vast middle dan whose votes made him president and whose well-being he promised to improve will be touched by new taxes on Please see CLINTON A9 Computer network: Invest in national computer-based information network Shift research and development spending: From defense to civilian Job training: Boost spending on training and education programs 'Health' Medicare savings: Limit payments to doctors and hospitals llP Business tax credit: For investments in new plants and equipment $63 billion in 1993 PSP? Infrastructure projects: Spending on roads bridges mass transit education ana tr training $36 I A look at how billion over 4 years Tax credit economic plan compares to his promises during the presidential campaign Close-up Page A3 Defense budget might be cut by $88 billion over four years Page A8 Legislative reaction is sharply divided across partisan lines Page A8 Raise earned Income tax credit: Increases income for working poor totaling $20 billion over 5 years SOURCE: KnigM-Ridder national ooneepandmt Robert A RenMn Major oil and drug companies face a bigger tax bite in the president's economic plan Page A8 A look at what's in the for detail of plan sen page A1JJ Clinton plan Page All Please see ANALYSIS A9 Knight-Ridder Tribune Most face more taxes though poor are protected Federal Communications Commission regulations require die television and radio stations to be sold separately WVLK President Ralph Hacker was asked whether he is interested in buying the two radio stations dad-bumed right I am" Hacker said know which plan yet but we will be a He said he is putting together a group that will make an offer soon because he was told that a deal will be cut quickly Stephens said the profitable radio and television stations are perhaps die most saleable parts of the company He said several potential buyers were reviewing the would affect the middle claim the upper-middle class the rich and the poor By RA Zaldlvar KnlgM-Rkkter News Sendee WASHINGTON President economic plan takes a big tax bite from the rich and the upper-middle class nicks average-income wage earners and gives the working poor a little help through cash assistance and more government benefits Take Cliff and Claire Huxtable a doctor married to a lawyer According to calculations yy the labor-funded Citizens for Tax Justice (CTJ) the HuxtaUes would pay $16000 more in federal taxes assuming they made more than $200000 a year But a working stiff like Homer Simpson would have to fork over less than $200 extra assuming a salary in the the high-income side Clinton does even more than he suggested during the said CTJ head Robert McIntyre hold the middle class harmless but not like breaking the backs of the middle how plan The tax would also be reflected in higher prices for virtually every consumer good Those in the solid middle of die income scale making about $37000 a year would pay an average of $190 more a year in energy taxes under plan Because energy use like all consumption rises with income die energy tax goes up the more a family makes A household in the income bracket would pay $590 a year in new energy taxes according to CTJ Uppsr-mlddte class: Ginton keeps stressing his tax increases will soak the few who are rich He says 70 percent of the taxes will be paid by the 42 million households (44 percent of the population) making $100000 or more But to many middle-class professionals living in big cities $100000 seem like riches Single filers with over $115000 and married couples with over $140000 in taxable income get hit Please see EFFECT A9 Mkfdla class: Middle-class working families would face no income tax increases Instead they would fed die pinch of a broad new energy tax through higher prices for gasoline heating oil electricity and natural gas A 75 cent gasoline tax increase would be phased in over three years beginning in 1994 Please see STATIONS A6 State retirement board movaa to protect masala PagaBS 2 die when blocked chimney traps gas in apartment Temperatures dip to single digits How to keep your chknnay working property Pago A7 yesterday They also found dead pigeons and nests The debris kept a gas space heater in the upstairs apartment from venting properly through the chimney said Chuck Mallory director of the Division of Code Enforcement Sometime after midnight the man and woman closed the door to a front bedroom and went to sleep near the space heater That apparently trapped the gas inside and killed them Three people sleeping in another room were unharmed Mallory's office padlocked all Please see GAS A7 By Eric Gregory Herald-Leader staff writer A clogged chimney forced deadly gas fumes back into a north Lexington apartment yesterday killing a man and woman who were asleep inside investigators said City officials sealed off the three apartment buildings in the 700 block of North Limestone Street and helped the eight families living there find someplace else to live Tenants spent the afternoon moving some of their belongings out of the red brick buildings near Bryan Avenue many wondering how they were spared from die odorless colorless carbon monoxide Herald-Leader staff report Central Kentucky got the coldest weather of the season this morning but experts do not expect any records to be broken This low was expected to be about 7 degrees said Jim White of the National Weather Service: Temperatures got only as low as 14 in January and 10 in December The record low for today 6 below was set in 1936: high was 30 die low 17 at 10 pjn Dry cold air coming from the central Plains will keep temperatures abnormally low fix' this time of year White said Average temperatures for mid-February usually peak about 45 degrees and dip to a low near 25 Today's high should reach 27 with lows expected in the low teens fumes guess the good Lord is watching over me" said Leona Grider 69 Grider lives below the second-floor apartment where the bodies were found yesterday morning The man was 24 years old the woman was 27 Police are not releasing their names until they can notify relatives Outside lay a pile of blackened bricks straw and concrete that firefighters and city building officials cleaned out of the chimney.